Preliminary Approval Won

The City Planning Commis sion gave preliminary approval, yesterday to a plan to erect a state‐aided, 1,700‐unit apart ment development in two 40‐ story towers on West 42d Street.

The estimated cost of the project, which would be be tween Ninth and 10th Avenues, is “over $80‐million,” according to a spokesman for the State Division of Housing and Com munity Renewal.

The Planning Commission's action was in the form of ap proval for the general concept of the sponsor, the HRH Devel opment Corporation, whose president, Richard Ravitch, is one of the city's leading hoes ing developers.

Although the project is in its preliminary stages and possi ber of important hurdles remain to be overcome, it would, if carried through, provide a ma jor boost to an area in the midst of change.

But balancing the deteriora tion—which community leaders contend flows from conditions in Times Square immediately to the east—are potentially far‐reaching plans for change. These include plans for a ma jor convention center, a new ocean‐liner terminal and an ex panded Port Authority bus ter minal in the area.

Specific Design Needed

Following the preliminary ap proval yesterday, the sponsor now has to come up with a specific design that would meet certain Planning Commission conditions before the commis sion schedules the matter for public hearing, which must pre cede any final commission de cision, a commission spokes man said.

Some of the conditions in volve the traffic effect of the project, which would be across the street from a Lincoln Tun nel exit, according to the spokesman.

The State Division of Housing and Community Renewal has already approved the site and general concept of the project, which, at this time, would pro vide apartments renting for an average of $94 a room, accord ing to Mr. Ravitch's proposal.

“Assuming construction and development costs can be worked out that are satisfactory to our people, we're prepared to go ahead and make a mort gage loan,” a spokesman for the state agency said.

The project would be fi nanced by the state loan under the Mitchell‐Lama law, which is designed to provide public aid for the construction of middle income housing.

“We're going over the pro jected tents with them [the sponsor],” the state spokesman said. “We think they could be a little lower.”

The project — which would place “heavy emphasis on smaller apartments” rather than on apartments suitable for large families, according to Mr. Ravitch — faces several major obstacles.

One is that his company still does not own the land, now largely a parking lot that ex tends to 43d Street. Mr. Ravitch said the land was owned by Seymour Durst, another leading realty developer here, and that the Ravitch company is “hoping to acquire an option on the land.”

Mr. Durst could not be reached last night for comment.

The Board of Estimate would also have to approve the tax abatement that is part of the Mitchell‐Lama program, and there are growing reservations about the Mitchell‐Lama pro gram among some city officials and segments of the public.

When the program was es tablished in 1955, it provided middle‐income housing at an average monthly rent of about $25 a room. But because of steadily rising costs of con struction, financing and operat ing over the years, the monthly rents in Mitchell‐Lama projects going on the drawing boards today are nearing an average of $100 a room.

Critics insist that public sub sidies should not be used for people who can afford such rents, but the program's propo nents say the city desperately needs housing construction at these rent levels, too.

Mr. Ravitch, who heads the group sponsoring the Waterside housing development planned for a platform over the East River, is also a director and former president of the Citizens Housing and Planning Council of New York, a civic group.

Council directors endorsed the 42d Street project after a council committee had disap proved it. Mr. Ravitch and Roger Starr, the council's exec utive director, said Mr. Ravitch played no role in the directors' vote.

We are continually improving the quality of our text archives. Please send feedback, error reports,
and suggestions to archive_feedback@nytimes.com.

A version of this archives appears in print on October 3, 1972, on Page 93 of the New York edition with the headline: Preliminary Approval Won. Order Reprints|Today's Paper|Subscribe